Liquidity traps, capital flows
dc.contributor.author | Acharya, Sushant | |
dc.contributor.author | Bengui, Julien | |
dc.date.accessioned | 2016-01-26T20:45:53Z | |
dc.date.available | 2016-01-26T20:45:53Z | |
dc.date.issued | 2015-12-17 | |
dc.identifier.uri | http://hdl.handle.net/1866/12959 | |
dc.publisher | Université de Montréal. Département de sciences économiques. | fr |
dc.subject | Capital flows | fr |
dc.subject | International spillovers | fr |
dc.subject | Liquidity traps | fr |
dc.subject | Uncovered interest parity | fr |
dc.subject | Capital flow management | fr |
dc.subject | Policy coordination | fr |
dc.subject | Optimal monetary policy | fr |
dc.title | Liquidity traps, capital flows | en |
dc.type | Article | fr |
dc.contributor.affiliation | Université de Montréal. Faculté des arts et des sciences. Département de sciences économiques | |
dcterms.abstract | Motivated by debates surrounding international capital flows during the Great Recession, we conduct a positive and normative analysis of capital flows when a region of the global economy experiences a liquidity trap. Capital flows reduce inefficient output fluctuations in this region by inducing exchange rate movements that reallocate expenditure towards the goods it produces. Restricting capital mobility hampers such an adjustment. From a global perspective, constrained efficiency entails subsidizing capital flows to address an aggregate demand externality associated with exchange rate movements. Absent cooperation, however, dynamic terms-of-trade manipulation motives drive countries to inefficiently restrict capital flows, impeding aggregate demand stabilization. | fr |
dcterms.description | This version: September 7, 2017 (original version December 17, 2015) | en |
dcterms.description | Cette version: 7 septembre 2017 (version originale : 17 décembre 2015) | fr |
dcterms.isPartOf | urn:ISSN:0709-9231 | |
dcterms.language | eng | fr |
UdeM.VersionRioxx | Version publiée / Version of Record | |
oaire.citationTitle | Cahier de recherche | |
oaire.citationIssue | 2015-09 |
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